The government of national unity (GNU) is on the verge of collapse after the ANCr efused to yield to the DA’s request for greater control over the country’s economic policy.
Senior government and DA sources confirmed to City Press that during tense budget negotiations on Friday afternoon, the DA indicated to the ANC that they would be “effectively ending the GNU” if they sought support for the budget from parties outside of the GNU.
However, negotiations between the ANC and the DA were to continue on Sunday after the ANC reached out to the DA again late on Saturday afternoon.
On Saturday, the ANC reaffirmed its commitment to passing the national budget without compromising its policy objectives, despite ongoing deadlocks in securing enough votes.
The DA suspects that the ANC is in advanced discussions with the EFF to support the budget legislation. The budget’s first major hurdle is this coming Wednesday, when the Standing Committee on Finance in the National Assembly (NA) meets to approve the fiscal framework of the budget.
City Press understands that there is pressure within EFF circles to accept the ANC’s budget. The uMkhonto weSizwe Party (MKP) is willing to negotiate with the ANC on passing the budget, provided it does not involve working with the DA.
According to the DA, the markets would react catastrophically if the ANC worked with the EFF.
City Press learned that during budget negotiations, the ANC indicated to the DA that they would not comply with any of the DA’s requirements in exchange for support for the budget.
Also, the ANC indicated that they did not believe consensus in the GNU was necessary regarding the country’s economic policy.
The ANC also did not put any counter-proposals on the table during the negotiations, which lasted only 10 minutes.
[Photo: by Leio McLaren on Unsplash]